... Reimbursement Guide
Introduction
Purchases of goods and services normally required for the daily operation of the department should be processed through the Procurement process. Examples of goods or services which can be procured by an individual in your department for reimbursement are official functions, memberships, and subscriptions. The Non-PO voucher is used as the method for processing a reimbursement to departmental representatives.
Process Description & Supporting Documentation
Non-PO Vouchers are initiated by UTHSC-H departments with the data entry of the transaction into the Financial Management System (FMS). The department sends a screen print of the Non-PO Voucher and supporting documentation to the Employee Reimbursement Team (ERT) in Accounting. All transactions must have adequate support which substantiates (1) what was purchased and (2) proof of payment. Acceptable as paid receipts are cash register receipts, copies of checks, formal cash receipts issued by the vendor, original imprinted charge card slips, or original invoices which indicate the method of payment Note that to fulfill both requirements all expenses must be turned in within 60 days of transaction date on the receipt (i.e., what was purchased and proof of payment), more than one supporting document may be required.
Once the documents are received by ERT, both the documents and the system transactions are reviewed to ensure that the payment is both allowable under institutional policy and adequately documented. Summary billing statements photocopies, or fax copies are not acceptable substitutes for original documents.
Exceptions to Procurement or Receipt Policy
Any exceptions to the established procedures for submission, documentation and approval of non-po voucher transactions must be justified in writing. Exceptions to the procurement process must include a completed Unauthorized Purchase Justification form and Reaffirmation Agreement form and signed by respective department management staff. All exceptions will be reviewed on a case by case basis.
Alcoholic Beverages/Liquor Stores-expense codes 69301-69309
The “Request for Permission to Serve Alcoholic Beverages” form must be attached to any reimbursement for which alcoholic beverages are served at an official UT function either on campus or off campus. This form must be completed and approved prior to the event (liquor consumed at a restaurant does not require the completion of the additional form). Additional documentation requirements are identical to those listed for business meals. Cannot be purchased with State funds, Service department or federal funds.(HOOP 2.02)
Books and Reference Materials - expense code 67382
Delivery address must be to the institution and must be used for UT business. No reimbursement of resident books.
Brochures, Pamphlets-expense code 67218
Payments for such items may include training manuals or video tapes. Payments cannot exceed $1,000.
Business Meals- expense codes 69301-69309
Expenses are processed only as reimbursement to a UTHSC-H employee; cannot use State Funds; supporting documentation must include a list of the attendees, their affiliations, their positions, titles, etc., and describe what institutional business was discussed. Maximum gratuity allowable is 20%. Maximum reimbursement is limited to $90(including gratuity) per person. (HOOP 2.11)
Coffee and water – expense code 67315
Limited to Designated Funds and certain Private Gift Fund accounts.
Computer Parts (not capital) – expense code 67335
Printer cartridges, speakers, etc…
Employee Training and tuition reimbursement – expense code 67202
Local training seminars only. Supporting documentation must indicate the supervisor approved the training class. See also HOOP 2.45 for additional information.
Flowers, floral arrangements – expense code 67331
Gifts such as flowers, mementos, etc., for faculty, staff or patrons of the University in recognition of some special event or occasion are processed as a Non PO Voucher. Acknowledgement of these relationships will often be in the form of a proclamation plaque or similar memento, or such gifts as flowers or plants. Gifts cannot be paid with State Funds; cannot exceed $60 per person. Documentation must indicate the name of the recipient, their association with the UTHSCH, and the event or occasion. NOTE: The gift or award cannot be of a service award nature. The purchase of holiday gifts for employees to be distributed in a department such as food, or bottles of alcohol, etc. is expressly prohibited. Recognition of group performance for the holiday, etc. is more appropriately displayed at a social function such as a dinner or reception. The direct payment via NonPO or PO for purchase of cakes for individual birthday parties is not considered official University business. These gifts are of a personal nature and should be paid for with personal funds. See HOOP 2.31 - Gifts for additional information and prohibited purchases.
Food/Grocery/beverage purchases – expense codes 69301-69309
Related to in-house business entertainment only. Original receipts are required; documentation required as with any business entertainment. Reimbursements cannot include personal items. See HOOP 2.11 - Official Functions and/or HOOP 2.02 - Alcoholic Beverages for additional information.
Food Purchases for patients – expense code 67316
Purchases directly used for patient visits involved in a research study.
Freight/Delivery Service – expense code 67286 or 67291
Emergency shipping service only; all others should be handled thru the procurement system. Reimbursement of postage should be approved by Mail Service prior to disbursement of funds.
Gifts –appropriate expense code or in conjunction with 69303
Gifts to employees, students and individuals who have a relationship with UT are permitted to acknowledge special occasions or circumstances. Purchases are limited to $60 per person and can be in the form of gift cards, flowers, mementos, etc… The gift must have a defined insitituional purpose and may only be reimbursed from discretionary funding sources (MSRDP, Other Designated, Unrestricted Gift). Gift card purchases for employee appreciation are considered cash equivalents to the individual and, as such, must be reported as taxable income. See Tax Reporting for Gifts, Prizes and Awards for further information.
Executive level gifts to individuals with a signifiicant relationship with UT may exceed the maximum gift amount with the approval of the appropriate dean or other administrative official and the chief operating officer or his designee prior to purchase.
Supporting documentation must indicate the name of the recipient, their association with the UTHSC-H, and the event or occasion. Two copies of the completed Support for Reimbursement of Gift Cards Presented to Employees form must be submitted for requests for reimbursement of all gift card purchases for employees. Due to the administrative cost associated with the processing of cash or cash equivalents, individual gifts of less than $25 of this sort are prohibited. NOTE: The gift or award cannot be of a service award nature. See HOOP 2.31 - Gifts for additional information and prohibited purchases.
Graduation Ceremonies –expense code 69301
Expenses related to the hosting of graduation ceremonies may be processed on a Non-PO Voucher. All such transactions are routed for approval through the Office of the Assistant Vice President for Finance and Governmental Relations. See HOOP 2.11 – for additional information.
Licensing Fees – expense code 67210
Professional licensing fees are reimbursed to the individual and not paid directly to the organization. Fees must be directly related to UTHSC-H current job responsibilities. Some examples are renewals of Texas Board Exams, clinic professional services and CPA fees. Fees are normally reimbursed in one year increments.
Local Mileage and Parking – expense code 67250
Mileage should be non-routine in nature. Reimbursement for local mileage in excess of $25/month should be submitted through the travel reimbursement process.
Maintenance and Repairs – expense code 67266
Emergency purchases for building and ground maintenance.
Membership Dues – expense code 67201
INDIVIDUAL only: Payment/Reimbursement for membership in a professional society or organization in the name of a faculty or staff member can be reimbursed. Cannot be on State or Federal Funds; must be mailed to an institutional mailing address. See HOOP 2.52 - Membership in Professional & Educational Organizations for additional information.
Notary Bond/License Fees – expense code 67210
Fees for services of a notary public or bonding services may be processed must have the written approval of the Director, Risk Analysis & Loss Control and be mailed to an institutional address.
Office Supplies – expense code 67300
Normal procurement should be done using the FMS procurement system. Petty cash or non-po voucher for individual reimbursement should be requested only in the case of emergency purchases with approved exception to procurement process attached.
Official Functions – expense codes 69301-69309
The provision of hospitality (meals, beverages, musical diversion for guests) towards some legitimate business purpose related to the goals of the UTHSC-H or one of it’s' departments. Cannot be done with State Funds; must be supported by original documentation and support. Documentation should include the name(s), affiliation and position/title of those in attendance; the institutional business discussed or the benefit to the institution. See HOOP 2.11 - Official Functions; HOOP 2.02 - Alcoholic Beverages for additional information.
Parking fees/validations – expense code 67250
Reimbursements to employees for expenses related to LOCAL parking while on official business (not on travel status). Reimbursements for parking fees while on travel status are processed through the travel reimbursement process. See HOOP 2.12 Travel for additional information.
Plants (live or artificial) – expense code 67331
Gifts such as flowers, mementos, etc., in recognition of some special event or occasion. Cannot be paid with State Funds; cannot exceed $60 per person. Documentation must indicate the name of the recipient, their association with the UT-HHSC, and the event or occasion. NOTE: The gift or award cannot be of a service award nature. See HOOP 2.31 - Gifts for additional information and prohibited purchases.
Postage – expense code 67291
All purchases of stamps and postage should be processed thru Mail Services for approval. Emergency FEDEX, Airborne, DHL or similar express services may be reimbursed using petty cash.
Preprints/Page Charges – expense code 67218
Charges incurred by publishers for processing manuscripts as well as ordering reprints of articles may be reimbursed. Charges cannot exceed $1,000.
Registration fees (Local) – expense code 69210
Fees charged to attend a conference or meeting within the Houston Metropolitan area. Registration to conferences involving while on travel status should be submitted thru the travel reimbursement process.
Relocation/Moving – expense code 67071 & 69340 (taxable)
Expenses related to the relocation of a new faculty or staff member committed to by a department as part of the recruitment process. Reimbursement to the employee for expenses incurred by and associated with the move should be processed as a Non-PO Voucher. Payments to third parties (outside vendors for moving) are to be handled through the Procurement process. Some items could be considered taxable to the individual and will be reported on IRS W2 form at the end of the calendar year. See Travel General Policies or ERT or see HOOP 3.08 for additional information. Note: Aggregate expenses for any such move cannot exceed one month base compensation of the new employee except through the written approval of the head of the operating unit.
Reproduction/Copy charges – expense code 67273
Costs for copy and printing services.
Research Subjects – expense code 69655
Participants in research trials or patients who participate in experimental therapies may be reimbursed.
Subscriptions – expense code 67303
Magazine or journal subscriptions may be paid and/or renewed for one year only. All subscriptions must have an institutional address as the mailing address.
Telephone Fees and Surcharges –expense code 67516
Request for reimbursements for toll calls made on non-institutional telephones will be considered only when the calls were of an emergency nature. Such calls are more appropriately made on University telephones and thereby charged directly to a University account. Documentation must include who placed the call, who was called, his or her affiliation, and what UTHSC-H business was discussed. The following charges will not be paid or reimbursed: 9-1-1 Emergency Number Act; Poision Control Surcharge; Emergency communications District Act; Emergency Telephone Number Act.
Texas State Sales Tax – expense code 67573
According to HOOP 11.15, State sales tax can be reimbursed using a designated MSRDP, unrestricted gift account or endowment, etc., account. The credit card receipt is an acceptable receipt.
Tuition Reimbursement – expense code 67202 or 69157(taxable) HOOP 2.45 Job Related Training & Education
- Tuition and job related training may be reimbursed to UT employees at the discretion of the department head. The department must verify which fund source allows for reimbursement of this type of expenditure. State, designated, revolving and auxiliary funds may be used to reimburse external educational costs. The department must verify the allowable expenditures from all federal and private contracts and grants with the PAFT team prior to initiation of the request.
- Employees must receive a grade of C or better in any undergraduate course work, and a grade of B or better in any graduate course work to qualify for reimbursement of allowable expenses.
- Employee must obtain the Job-Related Training and Education Employment Request Form from Human Resources. Form should be signed by immediate supervisor and accompanied with a FMS non-PO voucher transaction. The requirement that an employee requesting tuition reimbursement must sign a formal agreement. The employee must agree to remain in the employment of the university for at least one full month for each semester hour of tuition assistance reimbursed, beginning with the month after the one in which the employee completed the coursework, or to repay the university for all expenses for which the employee was reimbursed if the employment leaves UT-Houston before the end of that period.
- Only fees directly related to the cost of the education are eligible for reimbursement. Items that are not reimbursable are deferral fees; installment fees; late fees; books, any type of deposits, including property, access card, breakage etc. Limitation of reimbursement to a rate not to exceed that charged by a state university in the Houston metropolitan area. For questions about this policy, contact the Expense Reimbursement Team. For Tuition and Fees rate to be used for Undergradatuate and Graduate click here.
- Tuition reimbursement in excess of $5,250 in a calendar year is considered taxable income and should be handled as graduate tuition. It is the department’s responsibility for tracking an employee’s total tuition reimbursement per calendar year.
- Tuition paid for by student or bank loans are reimbursable after the student makes a payment against the loan.
- The department enters a FMS non-PO voucher transaction payable to the employee seeking reimbursement and forwards to the ER team for approval.
- The following documents are required to receive reimbursement for tuition and related training.
- Screen prints of FMS non-PO voucher Invoice Information and Summary pages
- Completed job related training form
- Receipt of payment of tuition or payment against loan
- Copies of the employee’s grades
- Originals of the tuition statement detailing classes
- Complete Formal Agreement Form.
Tuition Reimbursement In Excess of $5250/calendar year - expense code 69157(taxable)
All tuition reimbursement exceeding $5250 is considered taxable income and is processed similar to taxable salary.
- Follow steps 1-5 and 1-3 above.
- After FMS non-PO voucher has been audited and processed the voucher is cancelled from the system.
- The taxable reimbursement is paid from other operating expenses budget pool. A budget modification may be necessary to process the reimbursement through the payroll process from this budget pool.
- ERT staff forwards the voucher and all supporting documents to the SDR team for processing through HRMS Payroll system. Reimbursement will be included on the employee’s next paycheck.
The University of Texas Health Science Center at Houston
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Last updated October 7, 2009
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